The Business of Fashion: Uncovering the Market Segments of the Apparel Industry
The fashion industry does seem very small and saturated but that it is like an alternate universe when you get in. There are so many market segments to uncover and since there is the need to be clothed and the need to feel good when clothed, it keeps on becoming a thriving business to the rest of the world. If you are starting out a new label, knowing the industry and where you want to position the label are the crucial points to uncover to set your business as well as your products on the right direction. Let us start by identifying the unique market segments and what makes these segments unique and why you should put your business at that level.
As of the moment, there are around 5 market segments that are within the fashion industry. They are normally distinguished by levels, pricing and procedural nuances. These segments are haute couture, ready to wear, mass market, Eco fashion and niche fashions
Haute Couture
A label that is exclusive to fashions that are completely handmade or most of the procedures done by hand; of materials made of the most luxurious and laboriously concocted patterns and fabrics and presentations that are well beyond magical, Haute couture is the pinnacle of market segments selling to the richest women. The term is carelessly used by others when they are indeed made to measure companies. Haute couture is a label controlled strictly by Chambre Syndicale in Paris and only a select few houses are labeled as haute couture houses. The likes of Christian Dior, Chanel, Givenchy and Elie Saab have the rights to be called haute couture houses. The market can be called niche since it only caters to a very small, privileged people who can spend $20,000 on a suit to over $150,000 or more for an elaborate dress with embroidery. It requires an audience with the Chambre Syndicale so if you want to be a full blown couture house, you need to establish your brand and show point of view that can be refreshingly couture.
Ready to Wear
This started out in the 1960s as an alternative to haute couture. These are ready to purchase items that come in standard sizes. This is one of the biggest money makers of fashion companies and where they also put much of their efforts adverting and presenting. If couture is held twice a year, ready to wear can have several runs ranging from the conventional spring and summer fashions, pre-fall and resort plus other specialty lines for kids and even pets. It is a massive industry. Ready to wear comes in several sub sections including luxury ready to wear. Most couture houses have their own ready to wear lines that are less expensive than haute couture by a mile but still are very expensive. Then there is the diffusion line that is catered to a more hip audience but still range similarly in price. High street lines are often less costly.
Mass Market
This is where most people buy their products. If you are starting out, it would be great to begin here and then head up, or diversify. Mass market normally is sold at very convenient prices but can vary in influence like the more posh labels to department store clothing. Boutiques normally offer a broad range of fashions from working class, leisure, daily and glamour/evening looks. Young companies can either begin here or at ready to wear label, the latter is ideal for those who want to create a stronger commercial impression.
Eco fashion
This is a unique market that focuses mainly on environmentally conscious materials and processes. It takes a lot more creativity to transform the fashions and make them rally stylish but it pays off very well since there is an emerging market for people who like Eco friendly options especially for accessories.
Niche fashion
This is focused on a specific area such as undergarment, jewelry, hats or shoes. This is another great option and it is easier to sell or market to boutiques or set up online compared to pieces of clothing.
By understanding the aspects of fashion and its different segments, one can easily make a decision about the best options and ultimately plan the business and the future strategies.
The Importance of Policies in Your Start Up Business
As a start up business you may think that creating policies to support your company’s day to day processes is an activity best saved for when the marketing, recruitment and production is well underway. However, the creation of company policies should be made a priority in order to help define your company’s direction, vision, management framework and systems.
The range of policies a start up business will need is surprisingly vast, from recruitment policies that document the entire recruitment process, to health and safety policies that ensure that your staff are able to work in a safe environment. Other policies may include:
- Environmental policy
- Data protection policy
- Staff training policy
- Risk assessment policy
- Induction policy
The list of required policies will of course vary depending on the industry sector and the type of organisation but there is a standard basic suite of policies that should be created and disseminated to support the establishment and growth of any new business. Interestingly, the dissemination of company policies is almost more important than their creation, as ensuring that every individual involved in the company’s practices are working within the same framework in terms of quality, safe practice and professionalism, will help unify the workforce and create efficiencies. One of the best ways to ensure that your staff are aware of all of the policies that are relevant to their role is to either include them as part of an induction package or as part of the employee handbook; all staff should then sign to say that they have read all of the policies and that they agree to comply with them whilst carrying out their duties.
A company’s policies also protect the company and the management team in cases where processes and procedures come into question. If you are able to demonstrate that you have a written policy in place to support a given situation, and that you and your staff have followed that policy then you are less likely to face criticism or more importantly you will be in a stronger position if faced with legal action, for example, if you are accused of discriminatory recruitment practices.
When creating your company’s policies you should endeavour to produce a standardised template that includes your company’s branding, whether that is a logo, or specific style guidelines in terms of font size, type and colour etc. Your policies should all include an implementation or approval date and a date for their review to demonstrate that they are working documents that will be reviewed and updated to reflect new legislation, best practice or changes within the organisation or market that you operate within. These policies will then form the backbone of your start up company and will evolve alongside your company.
Do you need help with your business documentationand policy writing? Then use the professional business writing, editing and proofreading services from Words Worth Reading Ltd.
5 Easy Tips To Gain New Business
Fed up with spinning your wheels and chasing one system after another? If you’re looking for clarity, focus and hands-on results, use these 5 coaching tips to gain new business-fast.
There’s a lot of great tips out there for presenting, selling and winning new business. But sometimes…it just feels like you’re chasing your tail trying one thing after another. How can you land on something that works…and yields repeatable success?
My coaching clients often ask me for tips to gain new business. When we sit side-by-side, we brainstorm specific actions that build on individual strengths. While we can’t dive into such detail in this post, here are 5 essentials that consistently attract new business.
Tip 1. Be Authentic
Much like dating…be yourself from the first encounter. Speak openly and naturally so that clients understand your business and your style. If you start out in a genuine and real manner, it’s easy to keep going.
Authenticity is your strongest asset. Why? Because there’s only one you. When prospects and clients get to know you…they’ll rely on your open and honest style.
Tip 2. Use Your Strengths
Last week I coached a gentleman who was terrific with metaphors. He was off the chart in coming up with stories, examples and anecdotes. But he was trying to present dry data without any emotion. Guess what my advice was?
Use your strengths. There are plenty of people who would give an arm and a leg to whip up metaphors so quickly and easily. Go with that.
Now of course, if your strength lies somewhere else-use that. If you’re a wizard at the whiteboard, grab a marker and show your sketches. If you’re a master at words, spell out your message so everyone gets it.
Tip 3. Simplify Complex Stuff
Life can be complicated. Business solutions are often complex. But your presentation must be simple. Simplify complex concepts, processes and procedures.
Make the complex stuff-simple.
The fastest way to do this? Show a single sketch. Draw while the audience watches. Keep it profoundly simple to draw and simple to understand. Oh. One more thing. A simple drawing on one page sends a message to your clients and prospects. It sings out: “we make the complex stuff simple.”
Who doesn’t want more of that?
Tip 4. Show A Compelling Story
There’s no shortage of data. But there is a drought on powerful stories. Why are stories so important? They are easy to understand, easy to get…and easy to retell.
The best story of all? One you can tell and show with a visual sketch. My clients always love stories that combine Tip 3 and Tip 4. Here’s a few examples:
• 3 Steps To Success
Show three steps and fill in the blanks while you draw the story.
• Before and After
A classic. Show before and after photos or icons.
• The Big Aha!
Show the shocking fact, quote or statistic.
By keeping your story simple and easy to understand, your clients and prospects instantly get the point.
Tip 5. Connect The Dots
You wouldn’t believe how many people forget this tip. It’s easy to understand, really. You’re immersed in your presentation and business value. You know your data inside and out. It’s easy to forget that your clients are seeing your presentation for the first time.
Connect the dots. Show how your product, service or solution will add value for your client. Spell it out. Be direct. This isn’t a time to be bashful.
Ready to win results? For the best approach, use these 5 tips to gain new business-fast